US ethylene prices strengthen after fire shuts down CPChem cracker

6:52 AM MDT | July 18, 2014 | —Clay Boswell

Chevron Phillips Chemical (CPChem) has declared f orce majeure on ethylene and polyethylene (PE) in the aftermath of a fire that took the company’s 853,000-m.t./year steam cracker at Port Arthur, TX, out of service on 7 July. US ethylene spot prices have soared to historic highs, and PE has tightened. Ethylene spot prices for July delivery from the Williams hub at Mont Belvieu, TX, climbed from 55.5 cts/lb on 3 July to 66.0 cts/lb on 14 July, according to IHS Chemical’s Market Advisory Service: North America Olefins and Polyolefins Daily. Another deal...